Pre-tax earnings of $169 million, up 67% from prior year
Net income of of $131.8 million, up 104% (1.14 $ cents basic earnings per share)
Revenues of $899.6 million and expenses of $629.2 million
Operating expenses fell 1%
Net provision for credit losses of $101.5 million; down 27% from prior year
Tier 1 capital of $1.4 billion and tier 1 capital ratio of 20.2%, well above the regulatory minimum
Ecobank is unique in the region; Reports in US$
Our performance validates our diversification strategy and the benefits of the reorganization of our business into customer-centric lines.
Ecobank Transnational Inc. (ETI) the parent company of the pan-African banking group with a presence in 32 African countries and strategic alliances with Nedbank of South Africa and Bank of China, and a strategic partnership with Old Mutual of South Africa, today reported for the year ended 31st December 2010 net income of $131.8 million, an increase of 104%, from the prior year and earnings per share of 1.14 $ cents per share, an increase of 97%, from the prior year.
Arnold Ekpe, Group Chief Executive Officer, commented: "The performance in 2010 reflected the benefits of our diversification strategy, the re-alignment of our business along customer-centric lines, and the unrelenting efforts of our employees across the Ecobank network. We invested in our businesses for growth and built strong client and customer relationships. The integration and optimization of our unique franchise delivered the desired cost efficiencies and asset quality. As a result, we saw a rebound in profits, which increased by 104% from the prior year, despite revenue headwinds in some of our regions, particularly, Nigeria. Additionally, we achieved significant decline in provision for credit losses as the credit environment improved."
Ekpe further remarked: "Our balance sheet, which we have de-risked and de-leveraged, remains strong, ending the year with a Tier 1 capital ratio of 20.2% and healthy levels of liquidity. Also, for the first time, total assets crossed the $10 billion mark to $10.5 billion. We're confident that our balance sheet positions us to generate strong earnings growth once the economic recovery firms up and market confidence improves."
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